The Oregon Action

Finally someone has written about the stand off in Oregon and a mad man.  montel-crazy-oregon-200x189






The current 1040, as designed by the IRS, violates the Supreme Court’s ruling on Income vs. Compensation (see previous article All Tax Software is Wrong for references).  So I took the liberty to create a proposed alteration that is more honest, preventing the deceit that was designed into the current one.



In this example we have separated compensation from income (which is derived from compensation) as ruled by the supreme court.  Suppose my compensation for my labor is 94,000 annually.  I voluntarily contribute $9000.  I say voluntarily because legally you are not required to “comply” by law but only made to believe that you have to by the IRS and since compensation (wages, salaries and tips) is not income.


Using the IRS tax tables to calculate the taxes due based upon my voluntary tax liability of $9000, and filing at the single rate, the taxes come to $903.

Some Ramifications…

  • Mortgage deduction and itemization are not needed as the contribution can be adjusted.
  • More money flowing into the hands of the people that actually produce.
  • More money flowing into the hands of consumers.
  • People can actually afford to pay their bills.
  • More money available for private sector businesses.
  • The shareholders of the Federal Reserve might not get there 6% dividend.
  • Government would have to shrink.
  • 90,000 IRS agents would be unemployed.
  • Eventually, people would have to find meaningful work rather than enter the federal and state bureaucracies.
  • Government theft and plunder would be severally curtailed.
  • The government would not be able to treasury bonds to the Federal Reserve member banks.  Because most tax revenue goes to paying interest on previous loans, the US Treasury would not be able to issue unlimited amounts of government bonds.
  • The government would not be able to continue funding unconstitutional agencies and programs because they would not be able to pay interest on the loans.  No pay interest, no get loans.  This will happen eventually anyway.
  • The government my have to renege on the promises it should never have made.  It will have to do this anyway soon enough.
  • Wall St. bankers and London financial houses may not get their bonuses.
  • Our oppressors (the government bureaucrats and politicians) will have difficulty with their masters (the bankers).

There are many more.  Most good in the long run.  Some bad in the short term, especially for our wise and powerful overlords.

Don’t worry to much about government services.  Most exceed the enumerated powers and are unconstitutional anyway.

100 percent of what is collected is absorbed solely by interest on the Federal debt and by Federal Government contributions to transfer payments. In other words, all individual income tax revenues are gone before one nickel is spent on the services which taxpayers expect from their Government.”  Grace Commission, Letter to President Reagan – January 12, 1984

Most people believe their tax dollars are go directly to the expenses of government.  This false belief is used to encourage people to pay their fair share of the tax burden so they can go on enjoying the benefits of living in America.

For more on the subject of why the government does not need to steal from you go HERE


An idea for a billboard


All Tax Software is Wrong

The destroyer of worlds

Shocked and yet not surprised.  Sounds like a contradiction, or perhaps a very conflicted person in a confusing circumstance.  It is long been known by some of us who actually take the time to question the dominate paradigm (as opposed to just googling stuff to support one’s bias) that government agencies deceive their citizens, violate the constitution and the rights of those same citizens, and use violence to enforce their unlawful edicts.

The U.S. Treasury, it’s counter part “The FED”, and it’s police (the IRS) are no exceptions.  In really, they are the worse of all offenders globally.  They look at citizens as milk cows to be drained, but they are really more like parasites that are slowing killing the host, which by the way, is you and me.

For instance, did you know that your wages, salaries, or compensation for your labor or product is not the same as your income?  I bet you did not.  But the IRS 1040 makes it look like it is which is in direct defiance to various supreme count rulings.  What rulings you ask?  Well how about these…

“If there is no gain, there is no income.” [1] …It [income] is not synonymous with receipts. Simply put, pay from a job is a ‘wage,’ and wages are not taxable. Congress has taxed income, not compensation.” United States Supreme Court Conner v. United States. 303 F. Supp. 1187 (1969) pg. 1191: 47 C.J.S. Internal Revenue 98, Pg. 226. (Emphasis added).

Read it carefully, WAGES ARE NOT TAXABLE, and Congress has taxed income, not compensation.  Well that was pretty clear.  How about this…

“The claim that salaries, wages, and compensation for personal services are to be taxed as an entirety and therefore must be returned by the individual… is without support, either in the language of the Act or in the decisions of the courts construing it… it is not salaries, wages or compensation for personal services that are to be included in gross income. That which is to be included is gains, profits, and income derived from salaries, wages, or compensation for personal services.” United States Supreme Court, Lucas v. Earl, 281 U.S. 111 (1930). (Emphasis added).

The act referred to in the above quote is the infamous 16th Amendment, which is a topic for some other day.

Now for sure the government has tried to force another meaning on the language by trying to get the court to support the pillage and impoverishment of the American people by trying to fold all earnings (everything that comes in) as gross income.  That was also struck down.

“We must reject in this case…the broad contention submitted in behalf of the Government that all receipts – everything that comes in – are income within the proper definition of the term ‘gross income’…” United States Supreme Court Doyle v. Mitchell Brother, Co., 247 US 179 (1918).

And the IRS code still defines gross income correctly (as of this research) in IRS code Section 22 GROSS INCOME:

(a): Gross income includes gains, profits, and income derived from salaries, wages, or compensation for personal service…

All this should be painfully clear.  The wages you earn is compensation for you time and labor.  It is not income according the the 16th Amendment and the Supreme Court.  Income (which are the same as gains and profits) is derived from your compensation, not the same as your compensation.  When I get paid, which is my compensation or my wages or salary, I pay my mortgage, I buy food, put gas in my car, I pay the utility bills, I go to the movies, etc.  All that is not income to be taxed.  What is to be taxed is if I take what ever is left over and invest it and make a return on it (that is I make a profit or gain from that investment) that is what is taxable.  This is very plain and clear.

So why is the IRS 1040 built so incorrectly?  It is intentionally designed to give you the false impression that wages, salaries, compensation are synonymous with income.  This is in clear defiance to the Supreme court and the 16th amendment.


Also, 1099’s shouldn’t be in there either, that is also compensation, not income. (See what-is-income).

As long as people remain unaware of this, the government can continue to borrow money for its wars and for buying votes (welfare) and to fund its police and surveillance state.  When this theft stops, the FED stockholders won’t get there 6% dividend.

I hope you do know that most of your taxes go to support the federal governments borrowing schemes, not to build roads and bridges.  They have to borrow and tax you to pay the banks the interest due for this borrowing, and to cover benefits and pensions so the bureaucrats, courts and law enforcement will continue to do there biding.

This endless borrowing is a major reason why MRI’s are many thousands of dollars when the true cost is $100 as in Japan, or why a hospital bed is $1500 a night for a shared room but a four star hotel runs $200 in the god-forsaken town of Washington DC.  (See The Market Ticker )  Government and the FED have driven everything sky high then they come to the rescue with something like EBT cards.  Government is the disease masquerading as the cure.   If that doesn’t work they lead us to war against a scapegoat.

To be far, perhaps TurboTax, TaxAct, H&R Block and TaxSlayer are just trying to get you to fill out the form the way the IRS expects you to.  Or perhaps they are counting on the deception to continue so the dominate paradigm will continue?  If it stops, so does their revenue.

One more thing.  To the American Christian you unthinkingly quotes “Render to Caesar what is Caesar’s”.  If you understood your own law and history, you would know that what is due Caesar is the tax on the profit or gain (income) from wages, not tax on the wages themselves.  Yes, you have to pay your lawful taxes, not unlawful ones, which is what we have been doing.

“The Constitution of these United States is the supreme law of the land. Any law that is repugnant to the Constitution is null and void of law.” Marbury v. Madison, 5 US 13

Stop taking the blue pill



From the US Warmongers dept. Soros behind US lead Ukrainian Coup? Geez, I’m shocked! Apparently it involves military provocation, the US Treasury and FED to help the usurper Poroshenko to gain control of the country’s financial markets, a Nuland and Soros link.


From the “Mark of the Beast” dept. Trendies Ready for Ultimate Wearable: “Chip Implanted in Their Skin Used for Payments”


From the Government is Inept dept. TSA: Worthless and from perhaps the best source of news on the planet – yes how things have changed – Russian TV (RT America) TSA Fails…  I thought Israel was our allie?  They have an unblemished record of safety.  How do they secure their airlines?  Just saying.


A thoughtful article from Charles Hugh Smith continues documenting the destruction of our liberties by the current incarnation of the “money trust”. Every point can be carefully reflected upon, pondered to greater depth, and documented further.


Stand with Rand?


On the way home yesterday I was listening to the local talk radio program on WMAL (Washington, DC).  They were discussing Rand Paul’s filibuster of the “Patriot Act”.  For those who do not know, Paul is against renewing it, wants to see it’s funding stripped and its scope curtailed if not abolished altogether.

The people calling in (usually an assortment of conservatives or neo-cons) made points both for and against Paul’s actions.  The majority “stood with Paul” but there was a good mix.  Being that I do not have a cell phone (I’m dinosaurian) I could not call in.  So I was waiting to hear if anyone would be making any point remotely discussing the elephant in the room.  At least to me it is certainly THEE elephant.

Giant Sucking Sound

Nope, no such luck.  I expected as much.  The people in the DC area, while many are struggling, are used to money pouring into this area so hard times here are not hard enough for most.  After all, the federal government rapes and plunders the rest of the country to maintain the huge and ever growing bureaucracy needed to control the rest of us.

So hear goes, as I see it.

I stand with Paul, but not for the reasons mentioned on the show by the host or the listeners.  Yes, the government is to big.  Yes, the Patriot Act and the powers and funding it gives to DHS, the NSA and its satellite agencies is excessive, unconstitutional, and ineffectual.  Yes, the claims by the NSA/FBI/DHS about terror plots foiled is most likely fiction.  Yes, the data collection is more likely going to be used against Americans who challenge federal authority than a terrorist in Yemen.


But my issue is strictly the economics of it.  The government is beyond broke.  It has no “money”.  The federal government lives on credit.  The IRS collects taxes so the federal government can service the loan and interest on that loan they get from the FED.  Without this, the government cannot borrow more currency to continue its activities.  So it must squeeze the people harder and harder because the debt and the interest on the debt gets larger and larger.  Servicing the debt becomes more and more difficult.  We are now at debt saturation.   Ever thing is leveraged and hedged and leveraged again by the Central Bank and its member banks (owners).  Our government, like all governments before them, must increasingly turn to plundering and impoverishing its citizens to service the debt (pay back the bankers so the government can borrow more to meet its expenses).


The dollar, like all fiat currencies before it, will crash and burn.  All assets with the banking system will be confiscated to keep the system “alive”.  All numbers from the BLS, whether employment, inflation, GDP, DJIA, etc., are fraudulent.  I fear for my parents.  He has substantial wealth, but will lose all of it if it is not in something tangible.


We are on the edge of economic collapse that will make the great depression look like the good old days.  What is coming is nothing that I nor my children nor my grandchildren are prepared for.  Unfortunately most of them either ignore the news or get there information from the main stream media that parrots white house talking points.  Real information one can find on Zero Hedge, King World New, Financial Survival Network or the Miles Franklin Blog go unread.  Warnings from Holter, Leeb, Quayle, Stockman, Roberts, Maguire, Rule, Pento, von Greyerz, Dalio, Price, Hoffman, Schiff, Krieger, Keiser, Woods and many many others go unheeded or unknown.  The only economists that have understood and have been right are the Austrian economists over at the Mises Institute.  They are like old testament profits who’s warnings go unheeded because they are not positive, comforting and full of lollipops and unicorns.


When collapse occurs likely later this year or next, funding the military industrial complex and cutting back on the military will also occur by default.  Not only the military, but every unfunded liability will be hurt if not destroyed.  Social Security, Medicare, Medicaid, Pensions, retirement accounts, IRA’s, savings accounts, etc., will vanish. EBT cards will crease to work.  Jobs will vanish.  As the dollar crashes, so will the ability of politicians to control the coming civil unrest.  And civil unrest is coming because people will look to the government as savior.  That is a job the government was never suited for.  Like the thieves they are, the government only knows how to steal, kill and destroy. No more money for the war on terror or war on drugs.  No more oil or farm subsidies.  And in the end, we won’t be debating the budget of the military or the welfare state, we will be looking for food.

I stand with Rand not because I believe it will matter.  But even if there is only 0.01% it will help, I will take it.  Anything, absolutely ANYTHING, that will curtail the power of the federal government is worth a shot.  The less power they have, the less damage they can do.  That is how desperate the situation has become.